According to a report published by German news outlet BTC-ECHO, the European Union (EU) has reversed its controversial plan to restrict the energy-intensive proof-of-work consensus process.
The EU’s Amendment
The latest version of the EU’s “Markets in Crypto-Assets” or MiCA legislation has been stripped of a clause that many believed would lead to a ban on cryptocurrencies that use proof-of-work — essentially, Bitcoin — as reported by BTC-Echo and confirmed by European MP Stefan Berger on March 1.
Berger, the bill’s rapporteur and chair of the ECON Committee, postponed voting slated for February 28 last week in response to public uproar over the objectionable language. He indicated today that the committee still needed to vote on the provision, despite the fact that the paragraph in question had been removed.
Richtig ist: Der Paragraph ist nicht mehr im Text. Der Bericht muss erst noch im Ausschuss abgestimmt werden. Bei dieser Abstimmung sehen wir dann, wo die Mehrheiten liegen. Die Entscheidung ist noch nicht gefallen #MiCA — Stefan Berger (@DrStefanBerger) March 1, 2022
The following section of the bill was censored in a copy of the most recent draft bill obtained by The Block:
“As from 1 January 2025, crypto-assets issued, offered or admitted to trading in the Union shall not be based or rely on environmentally unsustainable consensus mechanisms. The consensus mechanisms shall comply with minimum environmental sustainability standards.”
The voting date would be “in two to four weeks, 14 March or early April,” according to Berger’s office. In the meantime, the draft bill is unlikely to change significantly. If it passes those votes, the bill will go through trilogue debates with the European Commission, Council, and Parliament.